You are on page 1of 61

Running head: The role of innovation in human resource practices of Dubai

The role of innovation in human resource practices

of Dubai
[Author Name(s), First M. Last, Omit Titles and Degrees]
[Institutional Affiliation(s)]

Author Note

The role of innovation in human resource practices of Dubai

[Include any grant/funding information and a complete correspondence address.]

This dissertation is association of my degree program for ______________. I am very thankful
to all of my friends, faculty members, department heads and management of the university who
supported me from the selection of the research topic until the end. They have hugely contributed
towards providing me resources so that I became able to complete this dissertation.

The role of innovation in human resource practices of Dubai

I ______________, being student of ____________________________________ University,
hereby that this study is the result of entirely mine efforts. Nobody has published the similar
dissertation before me neither it has adopted from dissertation of someone else.

The role of innovation in human resource practices of Dubai

This study is contributive towards the role of Innovative management in human resource
practices. For the purpose of the study, a data sample of 50 was gathered from Head of Human
resource managers of manufacturing companies of UAE. A quantitative approach for the
research has selected and data has collected via primary sources of the data collection i.e.
questionnaire. Findings suggested that innovative management positively correlates with Human
resource management. Furthermore, determinants of Innovative management, Product
innovation; Process innovation and Administrative innovation also positively correlates to the
Human resource practices.

The role of innovation in human resource practices of Dubai

1. Introduction..................................................................................................................................7
1.1 Overview..............................................................................................................................7
1.2 Background of the study......................................................................................................7

Organisational Innovation............................................................................................8


Human Resource Management Practices....................................................................9

1.3 Problem Statement.............................................................................................................10

1.4 Purpose of the study...........................................................................................................13

Literature Review...................................................................................................................13
2.1 Introduction........................................................................................................................13
2.2 Brief Reasoning.................................................................................................................15
2.3 Conclusion ........................................................................................................................17
2.4 Methods Chosen For Consideration..................................................................................19


Mentality of Organisations and Their Objectives......................................................20


Training Management and Innovation Management Relationship............................21

3.1 Overview............................................................................................................................24
3.2 Data collection method......................................................................................................26

The role of innovation in human resource practices of Dubai


Advantages of questionnaire......................................................................................26

3.3 Reliability of the questionnaire and data...........................................................................27

3.4 Data collection instrument.................................................................................................28

Innovative Human Resource Department..................................................................29


Product Innovation.....................................................................................................29


Process Innovation.....................................................................................................30


Administrative Innovation.........................................................................................30

3.5 Variable Description..........................................................................................................31


Product Innovation.....................................................................................................31


Process Innovation.....................................................................................................32


Administrative Innovation.........................................................................................33

3.6 Ethical Considerations.......................................................................................................33


Result and Discussion............................................................................................................35

4.1 Overview............................................................................................................................35
4.2 Results................................................................................................................................36
4.3 Discussion..........................................................................................................................41
4.4 Summary of the chapter.....................................................................................................46

Conclusion and Recommendation..........................................................................................48

5.1 Overview............................................................................................................................48
5.2 Conclusion.........................................................................................................................48
5.3 Research implications........................................................................................................52
5.4 Research limitation............................................................................................................53
5.5 Recommendations..............................................................................................................53
5.6 Summary of the Chapter....................................................................................................55

The role of innovation in human resource practices of Dubai

1. Introduction

1.1 Overview
The first chapter of the study includes the introduction of the dissertation. This dissertation,
however, describes the effectiveness of human resource management practices towards
innovation in organisations. Moreover, this study is particular to the manufacturing industries.
Thus, to elaborate the consequences the introduction has developed according to the topic of a
dissertation that has demonstrated through the background, problem statement and Purpose of
the study.

1.2 Background of the study

The rapid change in high technology, communications and information have headed several
organisations to search for the innovative ways, experiments, ideas and creative ways in the
workplace in order to enhance their present processes, product, technology and system that is
known as innovations in the organisations. The term organisational innovation has vastly defined
in the different contexts however, for organisations it has stated as the initiation of the new
behaviour and new ideas in the organisation. The innovation processes in the organisations are

The role of innovation in human resource practices of Dubai

extremely complex. Major dimensions of innovation have explored by Chuang (2005) as (1)
breadth of innovation and (2) depth of the innovation. The breadth of innovation includes
system, policies, administration, products, services, processes and vice versa. However, depth of
innovation involves the importance, effect on the long-term profitability, degree of influence, and
One of the major category types of innovation, technological innovation have further split in
the context of the organisation. The division of technological innovation includes secondary
dimensions of process innovation and product innovation, however, the dimension of
administrative innovation remains unique from the other two types. Moreover, Mavondo et al
(2003) have distinctly categorised the role of innovation into three major categories that are
administrative innovation, product innovation and process innovation. Hence, this study also
follows the past literature (Chuang, 2003; Mavando et al, 2003; Tan & Nasurdin, 2010;
Damanpur & Evan, 1984; Damanpur et al, 1989; Damanpur, 1991) and divides the innovation
into three main categories that are administrative innovation, process innovation and product

Organisational Innovation

Process innovation, product innovation and administrative innovation are the most common
changes in the organisations. Furthermore, these changes have more influence on the
manufacturing firms and their operations. They tend to improve the effectiveness and
productivity of the organisations resolving major problems, creating competitive advantage and
with the value addition. Organisations are focused towards the major innovations in the

The role of innovation in human resource practices of Dubai

workplaces because they have proved to enhance the productivity of the organisations
(Damanpour, 1996; Cooper, 1998).
The development and commercialization of the new product for the creation of value and
coincide with the external users need and the market requirements through marketing analysis is
known as Product Innovation (Gopalakrishnan & Damanpour, 2001). Production innovation
process is an organised process that draws on the recent knowledge that is obtained by the
research and with the practical experience as well that leads toward the production of innovative
and unique materials, products and devices inclusive of prototypes. Whereas, process innovation
has viewed as the formation of new processes or progress of existing procedure (Leonard &
Waldman, 2007).
The method of transforming or modernising the effective techniques or procedures of the
production or delivery for the improvement of productivity is known as process innovation (Bi,
Sun, Zheng & Li, 2006). However, Administrative innovation is generally changing in the
organisational structure and in the procedures of administration of an organisation that can drive
performance of the internal environment (Damanpour & Evan, 1984; Chew, 2000). Moreover, it
is the requirement of Administrative innovation to proceed with the verified routines and the
processes of the workplace for the design of product Innovation), delivery and manufacturing
services (Process innovation) and dealing with the services and support (Administrative
innovation) (Brunsson et al, 2000). Specifically, when manufacturing firms have to be
considered, their internal operations are highly complex. Hence, the role of product innovation,
process innovation and administrative innovation are the essential sources of competitive
advantages for the manufacturing firms.

The role of innovation in human resource practices of Dubai



Human Resource Management Practices

The world is going to be more competitive with the passage of time and it is supposed to be
more and more uncertain, as it has ever been. Manufacturing industries in the different countries
are making efforts to gain competence in the market with the help of improvement in Human
Resource Management Practices (Sparrow Jackson, 1994). The Human Resource Management
practices have defined differently through the different authors. In order to understand the term
human resource management practices we first have to analyse the human resource management.
Human resource management is the deployment of the formal system in the organisation for
managing the people of it. Furthermore, the key responsibilities of a manager of human resource
mainly include staffing employees, planning compensation and benefits and process and
implementing working of employees. Furthermore, Gubman has evaluated human resource
management in The Gauntlet is down as the basic mission of human resources will always be to
acquire, develop and retain talent; align the workforce with the business, and be an excellent
contributor to the business. Those three challenges will never change (Gubman, 1996).
However, the practices of human resource management are the extended form of the Human
Resource Management. Human resource management practices are defined by Schuler and
Jackson 1987 as the system that is used to attracts, motivates, develop and to retain the
employees for ensuring the effective procedural implementation and survival of organisation and
people associated with it. Despite, the set-up of the organisation, specifically, human resource
management practices are also meaningful for the influence of human capital in the innovation
process (Laursen, 2012). Nonetheless, management of the organisations devise training and
development processes for employees, make decisions on the reward structures, deals decision-

The role of innovation in human resource practices of Dubai


rights etc. These arrangements of the human resource influence the human capital towards

1.3 Problem Statement

Human resource management practices are also defined as the set of procedures that an
organisation uses in order to deal with the human capital of the organisation with facilitating the
development of the competencies related to the firms, produces social relations and create the
organisational knowledge for attaining the competitive advantage (Minbbaeva, 2005). Opposite
to this backdrop, it can be concluded that human resource management practices are related to
the specified practices but deal in-depth to design the formal policies and philosophies to attract,
motivate, develop and retention of the human capital that ensure the effective procedures and
survival of the organisations through the performance of the employees.
Among human resource practices, Resource-based view and Ability, Motivation and
Opportunity theory has appeared as the most popular theories (Tan and Mohammad Nasurdin,
2011). Resource-based view claims that the human resource management practices are one of the
major resources of the organisations. A subset of it deals with the achievement of competitive
achievement through its human capital management and a subset of which enables long-term
performance of the organisation (Paauwe & Boselie, 2005; Tan and Mohammad Nasurdin, 2011).
Furthermore, the Ability and Motivation concerns that when the employees are motivated by
their supervisors they perform well, that leads to the best effective performance of the employees
for the organisation (Paauwe & Boselie, 2005). The competitive strategy of the organisations can

The role of innovation in human resource practices of Dubai


be achieved through implementation of best human resource management practices that motivate
the employees towards efficient performances.
The AMO theory illustrates that when employees are motivated, they are likely to perform
better, leading to higher firm performance (Paauwe & Boselie, 2005). HRM practices play an
influential role in motivating employees to exhibit favourable attitudes and behaviours, which
are required to support and implement the competitive strategy of an organisation (Hiltrop,
1996). Innovative firms focus on the promotion of human resource management practices in the
organisations. It is so because the organisations that want to proceed with innovations in their
organisations involves the employees feedback in the product, process or administrative
changes. Moreover, the performance appraisal of the employees is also critical in human
resource management practices because it increases the commitment of employees and
satisfaction of the employees and thus, employees get a chance to talk about their performances
at the workplace. In resultant, will lead employees to greatly involve in the innovation activities.
The previous studies have discussed the role of human resource practices in the organisational
development (Jimnez-Jimnez & Sanz-Valle, 2005; Laursen & Foss, 2003; Shipton, Fay, West,
Patterson & Birdi, 2005). However, there is a lack of study in term of human resource
management practices that are particular to the manufacturing firms. The practices human
resource management are essential for the firms to be devised. The firms with the involvement of
appropriate human resource practices have executed procedures of innovation.

The role of innovation in human resource practices of Dubai


1.4 Research Objective

This study drives attention of the organisations for the increasing role of human resources
in the change management of the organisations. That is why it has combined the philosophies of
the organisations with respect to innovations in the product, process and administration of the
businesses. Hence, following objectives are developed based on innovation in organisations:
To evaluate the innovation in human resource practices of Dubai.

To identify the product, process and administrative innovation with respect to human
resource management in organisations that are located in Dubai.

1.5 Research Question

Following research questions are formulated for the study:
1. What is the role of innovation in human resource practices of the businesses in Dubai?
2. How product, process and administrative innovation affect human resource practices of
the businesses in Dubai?

1.6 Purpose of the study

This study focused on the responsibilities of human resource management practices on
the development of innovations in the organisations. Hence, it has determined the critical factors
of human resource practices that effectively contribute to the organisational change. These
critical factors include performance appraisal, reward system, career management, recruitment

The role of innovation in human resource practices of Dubai


and training of the employees. Hence, these all factors separately affect organisational
innovations. The role of human resource in the manufacturing firms will be evaluated with the
perspective of organisational innovation.

Literature Review

2.1 Introduction
Innovative management as a term, simply means managing the business activities in an
innovative manner that it results in fruitful benefits and profits of the organisation. This terms
popularity took arise at the time of 1980s, but somehow has an interconnection to practices of
Human resource department only a 1990s. This term was booming when organisations were
booming at an astonishing rate, due to the competitiveness that they adhered. It gained huge
popularity when globalization was at the peak and the companies wanted to remain competitive
in the entire manner (Chuang 2005). The important thing that the companies realised at that point
was the reason for such a boom that was resulting in organisations profit was their most
confident asset and that is Human Resources and that without it; the organisations profit might
suffer from depletion.
The innovation is such a marvelous concept that it occurs almost at every point in life and
it is the case when it comes to Human Resource departments. Many organisations saw this
opportunity and they decided to appoint such directions and tactics that will evolve the Human
Resource department and enhance its functionality and introduces new parameters to perform its

The role of innovation in human resource practices of Dubai


duties that are assigned to it by the organisation. This path and innovation method led many
organisations on the path to success. The current era of globalization is very crucial for
companies and there are many challenges that are being faced by the companies due to that (Tan
& Nasurdin, 2010). As exciting as it may sound, the reality is far more different from this. It may
seem that the organisations, which are leading the market by their productivity and innovation,
had a very easy path due to their agile methods and good luck with the opportunities. However, it
is a crucial point here that it is not the case when it comes to innovation and how it plays its role
in the growth of the organisation. Many organisations faces difficulties when it comes innovation
and to create an interconnection between innovation and the optimization of the organisation.
These difficulties are caused due to high

increase in the market that has been recorded

comparatively high to maintain a business and make it profitable at par of expectations and the
increasing number of organisations is also hindering this progress. Due to availability of many
options, it is becoming harder to maintain the profit balance. There have been in multiple
researchers on this topic about how to improve innovation in an organisation and which
department is more responsible for developing a framework, which will evolve the company. The
researchers show that problems lie in every function of management but the most crucial
function is Human Resource Management. This was realised by the companies in 1980s and
since then the companies in Dubai are striving to perform best practices (Chuang 2005).

2.2 Brief Reasoning

Many researches have been taken place by many known researchers with the objective to
develop an understanding that how innovation takes place in a Human Resource department and
how it effects the environment of an organisation. As UAE is one of the most prominent places

The role of innovation in human resource practices of Dubai


that has a wide variety of organisations that are working on the idea of innovation and they all
are trying to be as competitive as they can (Chuang 2005). This research will evaluate how this
progress can intensify the position of an organisation in the market and provide much surety to
the organisation that will apply this method to evolve their organisations Human Resource
department and how it can perform at its optimum for the welfare of the organisation. Many
researches have concluded that the main aim of any Human Resources department is to attract,
manage, develop and retain their human capital (Tan & Nasurdin, 2010). At this moment, it is
essential to make this clear that this study will revolve around these key points. It will note that
how these practices are taking place; it will notify various methods that how these practices
should take place and how it will evolve the organisations value in the market. How these
practices and the methods that are being utilized for these practices, are profitable for the
organisation in the long term and provides benefits for the organisation in the short term. It is
vital for any organisation to grow, but there are some aspects of it that are needed to be under
observation for the probable growth of the organisation. Firstly, it is necessary that a hiring
method needs to be looked in detailed. Employees that are being hired can be the main expense
reasoning of any organisation as they are new, they need time to adapt the organisations policies
and the method that they are working on. The hierarchy of the organisation and what are the
resources of an organisation. The training and the resources that are required for these newly
appointed employees is significantly higher than the employees that are already working in the
organisation. To deter this expense, it is necessary that these new employees result, much more
profitable than the currently employed workers in the organisation do. That is only possible if the
employees that are being hired for the organisation and its welfare, are they qualified enough to
keep up the organisation of the competition. Secondly, the employees of the organisation, which

The role of innovation in human resource practices of Dubai


are already appointed in the organisation, are they receiving the full requirement of necessities
that is required to keep up the competition and keep them motivated to stay competitive (Chuang
2005). To keep this under observation, it is indispensable that a regular survey is conducted of
the employees and measuring their moral level on a developed theoretical scale so that new
measures can be taken to counter this problem because employees are the most important assets
of any organisation and their growth. Thirdly, Resource management is the most viable and
imperative in nature aspect for any organisation, any organisations success revolves around how
effectively they have utilized their available resources. It determines the ability and policies of
any organisation to perform in its given resource at optimum level and how they keep their
expenses at minimum level. By utilizing the best method and developing viable policies, it is
highly possible that the organisation will evolve and become an example of innovation.
However, developing such a strategy is a vital and time consuming. This challenge comes as
very problematic because many organisations fail to develop such strategy or even if they do,
they fail to complete every aspect of it. Till 2000, the companies have not taken this aspect very
seriously and this why most of the companies failed to perform better (Tan & Nasurdin, 2010).
Human resources are the most vital assets and resource of any organisation and it should be kept
as it is. As our dependency on technology is increasing, we are reducing our human assets as
they are becoming a lesser necessity for us. But it is mandatory to mention this that even after
many failures, many organisations have expanded their area of research to this and have
concluded many changes that has improved their productivity and their innovation method as
well (Chuang 2005). Theses integration of new policies has increased its popularity and it has
spread across the UAE to many organisations, which have transformed these newly developed
policies for their own organisations and how it can assist them in becoming more competitive in

The role of innovation in human resource practices of Dubai


nature. Through these policies, organisations have become more self-reliant and have gained
innovation of properties to develop themselves to be stable in the long term as well as in the
short term. Unfortunately, there are still a large number of organisations which have failed to
adopt these policies and integrations for many several reasons.

2.3 Conclusion
Academics and practitioners increasingly discover a management concept that offers
alternative approaches to deal with these problems: the business model. This concept is changing
the management and innovation discourses in remarkable ways: innovations of all kinds are
combined with business model thinking to renew and extend common innovation and
competitive strategies while diverse intra- and inter-firm issues are addressed (e.g. CasadesusMasanell & Ricart 2010; Chesbrough 2010; Teece 2010), for example organisational change, for
value network design, or knowledge and innovation management (e.g. Tan & Nasurdin, 2010;
Jimnez & Sanz-Valle, 2005; Laursen & Foss, 2003; Yang, X., 2009).) (Boons & Freund, 2013).
When we discuss innovative integration in departments, there has been a detailed discussion on
all of them in the past. It is very similar in the case when it comes to Human Resource
Department. Many of the domains of the Human Resources have been discussed in the past.
These domains include selection, training, recruitment, development, counselling, performance
management, coaching, performance appraisal, training needs analysis, change management, etc.
These domains are required to be taken place by the innovating practice that has been notified.
Innovation plays a vital role in making the functions distinct from other companies and thus
attracts more and more stakeholders towards the company (Boons & Freund 2013).A need of an
organisation is the most prioritised objective in any organisation. Only those organisations,

The role of innovation in human resource practices of Dubai


which understand this aspect, tends to achieve success in their remaining objectives, but it is also
necessary to understand what is the necessity of an organisation. The foremost important need of
any organisation is to develop better understanding between its employees and making them
understand the objective that is the need of the organisation. For that, it is necessary that an
organisation acquires better and agile employees that are talented in nature, as it is one of the
needs of an organisation. Along with this innovative culture also helps in managing the
knowledge within the company. This is generally referred as knowledge management and it
forms an important role in a company. A research suggests that most of the companies use
innovation management in the field of marketing but they do not find it feasible to use it in the
field of Human Resource (Tan & Nasurdin, 2010). According to Ariss and Casico, it's necessary
for us researchers understand the importance of Talent Management In the interest of making TM
more comprehensive and better understood, given the distinct lack of frameworks currently
available for research in TM, we offer the following suggestions for future research. First, we
urge researchers to understand TM as a relational construct. That requires researchers to take into
account relationships among individual, organisational, institutional, and national/international
contexts that shape the management of talent (Yang, X. 2009).

2.4 Methods Chosen For Consideration

To understand the ways in which innovation can take place or can evolve in the Human
Resource department, we need to first grasp the idea that how it will help us in developing such
ways that can spur innovation in the organisation and keeps the organisation at par with its
competitors, if not surpasses them. Rewarding is one the methods that are accounted as
innovation techniques, that are being used for a long time now, rewarding develops enthusiasm

The role of innovation in human resource practices of Dubai


in the employees of the company. As it is natural for any human being that if receive any bonus,
increment or allowance, their morale for work increases and it will lead employees to have a
positive response towards the organisation itself. It will boost the production capacity of
employees as well. Now, its not necessary that all employees of an organisation work in the
same manner as the other, reward comes in many forms and shapes. It is not compulsory that
reward always comes in the form of money. Unlike traditional workers, knowledge workers have
a lot of their own characteristics, such as the pursuit of job autonomy, diversification and
innovation (Kumar et al 2012). Some people prefer to have personal space, promotion or having
more independence of work. Providing rewards as in accordance of what the employee prefers
can result in human resource performance boost. Creativity has no limits, but it is necessary to
allocate a budget to all the projects that are taking place. It is necessary to have a structure that
will help in the development of the organisation, but minimize and manage the cost flow of the
innovative project. Leadership is a sure part when it comes to leading innovation in any
organisation. We have already made this clear that introducing innovation in any organisation is
not an easy task as it not only takes valuable time, but it also creates systematic and managerial
changes in an organisation, none of this is possible without having a hierarchical system in the
innovation plan. It is necessary to have a leader who is competent enough and has a perfect
understanding of how innovation takes place and how to implement it in the organisation, but
such development needs to be developed with any discrimination. At the intersection of the
organisational and individual levels, barriers to women accessing leadership positions relate to a
lack of mentors, challenges in male-dominated environments (e.g., oil exploration, cargo
movement), and more family responsibilities than male counterparts. (Ariss, Cascio, & Paauwe,
2014). Other than this, it is necessary to allocate separate funds for the innovation of the

The role of innovation in human resource practices of Dubai


organisation on all parameters. Even after reviewing all the other aspects that will develop the
organisation and increase its competitive characteristics, ultimately, it is mandatory to conduct
and develop studies, which will be related to maintaining a positive innovation and profitable

Mentality of Organisations and Their Objectives

Many organisations take innovation as a critical matter for the development of their

organisation. They introduce the innovation management in change management so it can

increase the chances of profit more. Change management is the time when many organisations
turn their ways of working and portraying themselves and try to make end for the loopholes that
exists in the system. It is necessary that the process of this change is taken with all seriousness
and with delicacy and performed with precision. Innovation if takes place during the time when
the change is taking place in an organisation, it provides new direction and a new dimension for
the organisation to develop in.

The moment at which the change is taking place, many

organisations halts their activities. Change can cause hindering, misprocessing and can cause
losses, that also includes the halting the stakeholder activities.

Innovation management can

come as assistance in this problem. With the help of innovative management, a task can be
performed using novel methods (Chuang 2005). Versatility is the new of development for any
organisation. A company needs to be as versatile as it can. In the new world, its impossible to
grow without developing multiple dimensions of operations. This statement assures that
nowadays, a company needs to be as versatile and open mind about innovation as they can to
increase the profit.

The role of innovation in human resource practices of Dubai



Training Management and Innovation Management Relationship

As per (Tan & Nasurdin, 2010). , recruitment is the foremost function of Human

Resource practices. The innovation is a need for every organisation to grow at a fast pace and
outrun its competitors. Organisations that are functional in the UAE are aware of this now and
they do realize that there is a need of developing and designing a novel mode that can keep their
organisation innovative. It is not surprising to know that nowadays, most of the organisations do
their hiring through the internet and that most of the candidates are hired for the use of social
media and internet. It is easy and convenient and accounts and as an innovation. Internet today, is
not a luxury anymore but a necessity, and by realizing that and utilizing this factor for
innovation, organisations can hire well-acknowledged and talented people without utilizing many
resources. The training process of organisations is also required to be changed since the
development of their employees in much better and interconnected manner. By introducing
innovation to the learning of employees, companies can increase the production rate of each
employee and improve their working process speed as well. The biggest innovation is not only
introducing new tactics and techniques that will enhance the production rate of organisations
components, but also introducing new technology that will emphasize the work style of
organisation and its workforce. It is mandatory for innovation to keep evolving and moving
towards more efficient and agile machinery. Outdated and slow machinery can stagnate the
innovation process greatly and it can reduce the competitive characteristic of an organisation.
Momentarily some days ago, many organisations have adopted new techniques of training that
will develop new and premier skills of their employees that are employed and will be employed
later on in the company. These training sessions are primarily selected for the purpose of

The role of innovation in human resource practices of Dubai


upgrading the employees ability to handle a task. However, these are not only intriguing in
nature for employees, but they are very educational in nature in nature, that they describe the
business activities of employees and it too in very appealing manner, that the employees do not
find the training sessions dull at all. The innovation that is taking place by utilizing innovation
management in the Human Resources is gradually increasing at a smooth pace. Even when it is
largely known by many organisations and acknowledged as a fact that innovation management
not only delivers change property to the organisation, but also increase the productivity and
popularity of the product, many organisations still are not capable of utilizing this instrument as a
whole in their organisation to increase their profits and benefits. According to Leonard &
Waldman, (2007) the major problem is that the companies still assume Human Resource
practices as the practices that are secondary and cost consuming for business practices. Besides
this point many other factors such as, lack of knowledge, lack of understanding and insufficient
resources are creating a blockade for these organisations from developing such tactics and are
unable to utilize these policies for optimization of their profits. Around 43 % companies feel that
conventional Human Resource practices are going well in their company and they do not need to
adopt innovative management to perform their Human Resource functions (Paauwe, J., &
Boselie 2005). It is worth mentioning here that even though many organisations are adopting
innovative management as a tool of change management, many organisations still in the states
consider it all too unnecessary as they see it as a headache and a difficult to be carried out.
Amazingly, a research also reveals that there are only 28% companies that want to become
innovative champions in performing human resource functions (Yang, X. 2009).

The role of innovation in human resource practices of Dubai



1.1 Overview
The methodology includes the procedures with which this study has proceeded.
Moreover, it includes the assumptions or philosophies that have supported the research processes
in the study. The process of data collection and data analysis has discussed in the chapter.
Reliability and validity of the data have also described through methodology. Furthermore,
appropriate techniques and statistical tools have defined that have used for the data analysis
process of this data.
Research Approach
The research is developed through previous studies that support the theories of the
current study within the context of past studies. Moreover, the previous study also reveals the
factors that can support the current study differently. The problem of any research gets enhanced
with the contribution of pilot results. However, the issue highlighted by the research get a helpful
hand to the relevant factors. Furthermore, it manages the specific and general observation from
the past theories and helps to determine with the perspective of the present situation. There are
two common of research approaches in the social sciences studies: One is quantitative research
approach and the second is qualitative research approach.
In this study, quantitative research approach has used. Quantitative research Approach is
used to evaluate the significance and non-significance of the variables of the study are based on
the pilot research. Furthermore, with the quantitative research analysis is performed using

The role of innovation in human resource practices of Dubai


statistical instruments and its manipulation is obtained through the results achieved by the
analysis of the data. Contrarily, qualitative research is also based on the findings of the previous
research and their findings, however, it involves verification of variables conducting interviews
of the target population and verbal discussions (Kumar et al, 2014).
3.2 Research Purpose
Two major research purposes for the study are explanatory and exploratory research
purposes. Explanatory research purpose involves different variables that are discussing with the
perspective of different regions on the problem this study has focused. In order to explore the
research further in the context of other region and with the different aspects exploratory research
is used. Furthermore, the explanatory research is used when there are some variables discovered
by the authors (Kumar et al, 2014). Since this study has utilised the previously identified
variables in the different context, therefore, the purpose of the research is explanatory.
3.3 Research Design
The studies that involve evaluation of the relationship of one or more independent on the
dependent variable is known as correlational design of the study. Since, in this study, the effects
of independent variables performance appraisal, reward system, career management, recruitment
and training has determined on the dependent variable innovation, hence, this study is directed
towards co relational design for the study (Tharenou, Donohue and Cooper, 2007).
3.4 Sampling

The role of innovation in human resource practices of Dubai


For study purpose, convenient sampling is used. The aim of using convenient is that it
deals with the respondents that can easily be identified for the research and collection of data is
easy from them. The data can be collected from the manufacturing industry easily.

1.2 Data collection method

The technique of questionnaire has used for the collection of data of the study.
Questionnaire is the part of a quantitative approach that includes the opinion of the respondents
in the response to the questions. Questionnaires are an effective mechanism for the collection of
an efficient number of data. It is not a complex model for the respondents. The questionnaires are
comparatively quick, efficient and cheap source of data collection. These questionnaires are also
critical to the targeted population when it is difficult to take interviews from the large population.

Advantages of questionnaire
Questionnaires are the critical and practical source of evaluation for the researchers. It

results in a large number of information in the short span of time. However, it remains slightly
cost effective way of data collection. It is used by the researchers because there is less doubt on
the reliability and validity of data that has gathered using questionnaires. Another benefit of the
questionnaire is that it can be analysed quickly by the researchers with the usage of statistical
software packages.
Furthermore, the questionnaires belong to the quantitative approach of research hence, it
is convenient to analyse and compare the information with the existing research in the
quantitative research. Moreover, it can highlight the changes among existing and recent studies

The role of innovation in human resource practices of Dubai


in the database. It has evaluated by the researchers that the quantitative research approach is
helpful to create the new philosophies, theories or test within the given hypothesis.
In addition, 50 organisations of UAE were concerned to collect data. Furthermore, 50
questionnaires have dispatched in the manufacturing organisations of UAE. The respondent was
specified the type of questionnaire however, the variables were not mentioned separately.
Furthermore, some printing sources have also used for this study that includes journal
articles, books, periodicals and others. Since, the number of sources available and can be used as
the data source, however, restricted to the relevance and quality used in accordance with
principles and knowledge. This assurance was necessary because it may lead to some ambiguity
in the research process or lack of relevance with the passage of time. However, it can also justify
the authentication of data.

2.5 Reliability of the questionnaire and data

Reliability of the data involves certain assurance regarding target population. However,
the target population is a population that has particularly selected for gathering data. Hence, the
following condition applies to the target population in this study for data collection:

Firstly the organisations should be located in the region of UAE because if we collect
some of the information from the other region of the world than the specification for the
study would also have to change and might change the recommendations and
implications of the research.

The role of innovation in human resource practices of Dubai


The targeted organisations should be dealing in manufacturing because generalisation

may lead to ambiguity, however, the specification of the type of firms will reveal the
specific guidelines to the manufacturing firms.

Targeted firms have proceeded with the human resource practices in it.

The target population for the study should include the human resource managers of the
UAE organisations because they can effectively depict the innovation procedures and
their outcomes in the workplace.
A total of 50 questionnaires were given to the managers of the manufacturing firms by

hand, with the courier services or with the help of e-mail facilities as per the convenience of the
respondents. The sample size of 200 questionnaires was considered as the sample population of a
total of 160,000 listed firms of UAE in Dubai Stock exchange. However, the total manufacturing
in Dubai was approximately 680 by 2015 (Dubai industrial park). The reliability of the data thus,
have to analyse critically in the context of above criteria.

1.3 Data collection instrument

The questionnaires were developed with the goal of keeping it as simple it can be for the
respondents. The language and phrases used in it were in the common use of civilian of UAE.
This can only happen when the word and statement of the questions were maintained and corelating with each other with the continuation of harmony. Moreover, it has not contained any
ambiguity in the sentence fragmentation of its questions. However, the layout of the
questionnaire has designed to maintain the professionalism because the target audience was the

The role of innovation in human resource practices of Dubai


managers of the organisations of UAE. Despite it was created according to the convenience of
the managers of UAE that they will not find any difficulty in filling it as well as it will not take
much time to respond to the questionnaires.

Innovative Human Resource Department

Moreover, it was notified to the respondents that they have to fill up questionnaires using

rate of Likert scale. The Likert scale was used to the rate of 5 and justified from 1 strongly
disagree to 5 strongly agree. Furthermore, the questions for Innovative in Human resource
management practices have selected from Som (2008). For HRM department the total items
selected were 4 in numbers. The questions were related to innovative practices of Human
resource management. These questions thus were related to the success of an organisation that
have achieved through human resource management practices. It also included the support of
human resource personnel in the workplace, Human resource managers lead as the coaches
rather than regulators, the role of human resource in the relationship building of employees, role
of human resource management in the achievement of benchmark of organisation and global
competencies and fairness of human resource policies.

Product Innovation
Product innovations role has also identified in the context of Human Resource

Management. Hence, this study included the relevant questions for the product development and
its effects on the Human resource of the organisation. There were 4 questions related to the
product innovation in the organisation that have taken from Zhong (2006) and Chew (2006).
These questions have asked the respondents about the product innovation as in past years they

The role of innovation in human resource practices of Dubai


have found any product innovation in their organisations as the new or significantly
improvement in the goods. The purpose of asking these questions was to identify the series of
product innovation in the recent years or how often that get the improvement in their product. It
was also asked that research and development process occasionally in the organisation or the
process of research development taking place in the organisation continuously that is the key
perspective of innovation in product. These questions show the development processes of
product and the involvement of human resource management in it.

Process Innovation
Process innovation has also a meaningful role in the organisational development.

However, it has a significant impact on human resource practices. The questions related to
process innovation have taken from Zhong (2006) and Chew (2006). The questions related to
process innovations include the implementation of process innovation in the database that your
organisation uses ERP, your organisation uses oracle or the organisation uses another database.
The system efficacy also affects the human resource practices because it needs to implement
strategies for the recruitment and selection, training and development process, work performance
and performance appraisal according to the changed processes. It has also included the questions
related to the training procedure that the process of the internal training has leveraged for new
product and process and external training has executed for new product or process.

Administrative Innovation
The role of innovation through administrative approach has also identified by Som

(2008). It has an amalgamation of all the practices of human resource management that has
affected by administrative change process of the organisations. The questions related to the

The role of innovation in human resource practices of Dubai


process of administrative innovation included the perspective of recruitment, training and

development, performance appraisal and recruitment and selection. Hence, total 5 questions were
asked related to the human resource practices that possess impact of administrative innovation to
the human resource management practices. The questions included Information circulation of the
new vacancy inside the organisation, the formal induction; formalization and orientation process
for the new managers in the organisations, selection of the personnel for the new project
motivates the employees or not, the explanation of the policies and its implementation regarding
performance appraisal has been clarified by the Human resource department, the rewards are
related to the working and efforts of the employees.

1.4 Variable Description

The determinants of innovative management, product; process and administrative plays
critical role in the human resource practices. The independent variables such as product
Innovation, process innovation and administrative innovation have the significant role on the
dependent variable human resource management practices. Human resource practices with
respect to innovative management mainly include recruitment and selection, training and
development, performance appraisal and reward system. The independent affecting dependent
variables are discussed briefly:

Product Innovation
In the current era, it is the need of the organisations to become innovative in its products,

processes and administration. Hence, the product innovation involves the development of a
product with its colour, taste, flavours and its usages in the different fields. Moreover, product
innovation involves the amalgamation of research and development (Tan & Nasurdin, 2010). The
research and development department is the part and parcel of the organisations to maintain the

The role of innovation in human resource practices of Dubai


innovation in its procedures. Hence, it involves appropriate selection of the individual for the
change and working planning, work performance and appraisal, training for the procedures and
reward system accordingly.

Process Innovation
The change in the operations of the organisation is known as process innovation. The

companies want to remain competitive with the improvement and firm procedures for the
product development. Thus, they become competitive in the market with the adoption of new
procedures in their manoeuvres (Tan & Nasurdin, 2010). Particularly, it is the need of
manufacturing organisations in UAE to improve their procedures in order to compete in the
market. The innovation procedures may include database implementation in the organisations
that is beneficial for the removal of human error.
The enterprises when to include the appropriate tool for the arrangement of data in the
manufacturing firms, they become efficient in handling the raw materials, work in process,
finished goods and distribution channels. The automatic data optimisation is rather significant in
the working facility of manufacturing firms. Hence, the process requirement of the automation
also involves human capital. Thus, the innovation in the process management impacts Human
resource management practices. That includes the process of recruitment and selection of the
right incumbent, training and development for the updated processes, performance appraisal and
reward system according to the updated system. Furthermore, the personnel requires internal and
external both type of training in organisations.

The role of innovation in human resource practices of Dubai



Administrative Innovation
Administrative innovation is the change in the structure or management of the

organisation. The management can be work in the innovative environment with the demand of
the operations. For instance, the efficiency of work performance requires modernization in the
management of the companies. Thus, the practices of human resource management are also
enhanced with the creational activities in the human resource management department (Tan &
Nasurdin, 2010). These changes may be directed towards increase or decrease in the
management layer, it may include independence of work in the organisations, effective role in
training and development can be enhanced or reduced according to the situation, the role of
human resources can be maximised in the organisations and etc. Thus, such changes in the
organisations lead toward the effectiveness of human resource management practices as the
practices have to control the selection, training, performance appraisal and reward procedures.

1.5 Ethical Considerations

With the rise of scholars globally, augmentation of immoral practices has also seen
among studies. Researchers right directly to the practitioners although the study is based on the
sample size of the population. Hence, ethics have imposed for writing the research papers or the
dissertations for the degree programs. The ethical policies have also proceeded by the publishers
of International Journals and Articles. However, it is the key responsibility of the researchers to
take a glance on the writing material whether there is any part that can hurt people included in
the research of the particular region or there are some wrong evident of the assessment of the
sample mean.

The role of innovation in human resource practices of Dubai


Hence, this study has remained concerned about the human rights so that any person with
the name or with the name of the organisation has not been highlighted. The data has remained
confidential and prevented from the publication. Furthermore, the objective of writing research
paper has discussed with the respondents i.e. managers. The results of assessment and
interpretation have also declared to the respondents so that they will not have any ambiguity in it
after the submission.

The role of innovation in human resource practices of Dubai



Result and Discussion

The topic is concerned about the effectiveness of innovative management in human

resource practices in Dubai. It has used three major dimensions of innovative management in the
dissertation. These determinants of the innovative management were product innovation, process
innovation and administrative innovation. Moreover, the study has proceeded with the effect of
innovative management on human resource management practices. Human resource
management practices, however, involves many variances in it but we have discussed only major
aspects of it. The major aspects we have included in this study are recruitment and selection,
training and development, performance appraisal and reward system.
In addition, we have selected manufacturing firm of UAE in order to analyse data. The
data sample is of 50 respondents. 80 questionnaires were sent to the head of human resource
managers of the organisations from which 50 responses were found useful for the study. The
specification was explicitly notified to the companies that there should be respondents from
upper-level management who deals with the innovation process and approve it so that he/she
would know about the history of the organisation, business strategy, operations, business
environment and changes made in the environment among the past periods of the company. In
addition, the technique of questionnaire has used to gather data. However, after the collection of
data, we have analysed it in this chapter that reveals an interpretation of the responses and
assessment of it. Statistical techniques used for the data are Descriptive Statistics and

The role of innovation in human resource practices of Dubai



Responses from respondents have evaluated many perspectives of the innovative

management in human resource practices. Following are the results of Descriptive Statistics:
Table 3.1 Descriptive Statistics of Product Innovation

Standard Error







2.287346939 1.911836735 1.933061224

-1.316149368 -1.158106478 -1.350182783
0.27803745 -0.100594013 0.013212493

Table 3.1 demonstrates descriptive statistics in the data that were related to production
innovation in Human resource management in the organisation. P1 relates to the first question,
P2 P2 is the second question and P3 is the third question of Product innovation. The first
question was related to the recent innovation in the organisations of UAE organisations, the
mean of the data depicted is 4.72 that depicts the managers have responded there was innovation
in the product among previous three years. Moreover, research and development have remained
occasional as the second question has shown its direction towards agreeing. For the continuation
in research and development managers have disagreed. The standard deviation for the second
and third question is 19% and for first question, it is 21%. Furthermore, it can be evaluated from
variance and standard deviation that data has not dispersed from the mean. Moreover, Skewness
showed the normal distribution for the first and third question. However, it is negative for the

The role of innovation in human resource practices of Dubai


second question. Nonetheless, Kurtosis has shown negativity among all of the variables that
mean data is risky because of the negative amount of outliers.
Table 3.2 Descriptive Statistics of Process Innovation





Standard Error





The third variable of the questionnaire was processed innovation. Table 3.2 demonstrates
that the mean for the first question is 4.84 that was related to usage of Enterprise Resource
Planning (ERP) in organisations of UAE. Consistent with the more implementation of ERP it has
evaluated from the mean of the second and third questions that there is less use of SAP and
another database respectively. Moreover, it has depicted from the data that internal and external
both of the training types are executed in UAE organisations as the mean of fourth and sixth
questions are directed towards agreeing. Standard error for all variables is very small in all the
questions that range from 19% to 21% in all questions. Standard deviation and sample variances
for all the questions are not much dispersed from the mean. However, Skewness of the data is
normal for questions 1, 4 and 5. But it is negative for the questions 2 and 4 that shows meanly is

The role of innovation in human resource practices of Dubai


lower than mean and median of the data. Kurtosis of all questions has negative values it means
outliers does not exist, to the impossibility.

Table 3.3 Descriptive Statistics of Administrative Innovations

Standard Error



5 0.16564
1.42011 1.17125 1.51522
2.01673 1.37183 2.29591
-1.2621 0.82041 1.48015
0.10984 0.23193 0.13933

Table 3.3 shows descriptive statistics of administrative innovations in the organisations.

The administrative process for this purpose included the first question for the recruitment and
selection process and innovation in it. Hence, mean for the recruitment and selection with the
innovative perspective depicted mean of 4.06 it means organisations are innovative towards
recruitment and selection. The second question was the focus of organisations towards
orientation and training of the employees. An employee of the organisations has responded that
there are the better procedures for orientations and training of the employees with the man of
4.98. Furthermore, mean for the third question was 4.06 that has evaluated motivation in the

The role of innovation in human resource practices of Dubai


employees. The fourth question was in accordance with performance appraisal that has
responded with the average of 4.34 that shows the implementation of working style has
explained to all staff for their performances and the fifth question that belong to rewards and
appraisal depicts 4.1 mean that means staff get rewards for their efforts in the organisation. The
standard error of all the questions related to administrative innovation ranges from 16% to 21%
that is a minor estimation of error in the data. Furthermore, variance and standard deviation for
the questions is slightly dispersed from the mean as the standard deviation for the first
questionnaire was 1.33, it is 1.40 for the second question, 1.42 for the third question, 1.17 times
dispersed from the fourth question and for the fifth question it has dispersed 1.51 times. Hence, it
represents that existence of dispersion is very low in the model. However, for the fourth
question, it is slightly dispersed with the value of 1.1. It can also be depicted from data that
Skewness is distributed normally in questions one and two. For questions three, four and five it
negatively distributed and depicts that mean is less than median and mode of the data.
Table 3.4 Descriptive Statistics of Human Resource Department

Standard Error

0.211293393 0.211293393
1.494069911 1.494069911 1.422271825
2.232244898 2.232244898 2.022857143
-1.507633744 -1.392084819 -1.163637049

The role of innovation in human resource practices of Dubai


Table 3.4 describes descriptive statistics of Human Resource Department. It mainly

includes Mean, Standard Error, Standard Deviation, Sample Variance, Kurtosis and Skewness.
Total mean for the first question is 3.06 that depicts the support of management in the workplace
is rather near to neutral. The second question was related to the role of human resource managers
as the leader, not as the regulator that has shown 2.82 mean it means their role has not been
justified as the leaders and average have disagreed with the criteria. Similarly, the third question
is, however, about the role of leaders in the relationship building among employees that has
depicted an average of 2.82 that is also in between disagree and neutral response. However, the
fourth question belongs to the role of human resource managers in achieving the benchmark of
the organisation. Moreover, standard error changes in data for the question is 0.21 that is 21% of
the data, this small quantity of error is acceptable in the research studies. Similarly second and
third also depicted error estimation of approximately 21% but the chance of error estimated for
the fourth question is 20%. The data deviates from the mean approximately 1.5 for the first
question and for the second and third question it is 4.9 that is much closer to that of the question
1. However, question four has depicted less deviation from the mean than other questions.
Furthermore, variances from the mean of data are also not much dispersed from the data that is
2.2 for all three questions and for the fourth one it is 2.0. Skewness of all the questions in data
has normal distribution because it has depicted value 0. Furthermore, Kurtosis for the data has
risk because it has negative values for the outliers that are risky as the range of Kurtosis is best
suitable among 0-3.
Table 3.5 Correlation of determinants of Innovative management and Human Resource
management practices

The role of innovation in human resource practices of Dubai







Table 3.5 depicts correlation of the determinants of Innovative management of Human

Resource Management practices. It can be observed from the table that the first determinant of
Innovative management Production innovation has the highest correlation with Human Resource
Management practices that is 81%. The second determinant of innovative management, Process
innovation has 68% correlation with Human Resource Management practices. That is the second
highest value of correlation among other determinants. However, Administration Innovation that
is the third determinant of Innovative Management possesses lowest correlation value that is

2.8 Discussion
The study has evaluated with the purpose of identifying the innovative management and
its role towards human resource practices in the manufacturing organisations of UAE. The
purpose of the study is to explore the innovation in the organisations and its effectiveness to the
firms in UAE. It has also demonstrated that the manufacturing firms are rather focused towards
innovation of the organisations because they deal with the several operations from the point of
purchase to the point of the sale. Hence, innovations in the products, process and administrative
development has provided convenience to the manufacturing (Som, 2008).
In addition, with the advancement of technologies procedures and development of the
products have also raised. New products with the new features are the demand of the people.

The role of innovation in human resource practices of Dubai


Hence, companies have to transform their products according to the will of consumers. Similarly,
in order to remain competitive in the market, organisations will have to adopt quick procedures
in their operations reducing labour cost and maximisation of the profit. It also remains the
objective of the organisations to get a competitive advantage through human capital
management. Hence, these organisations are able to combat in the war of innovation maintaining
their competencies in the market. Thus, this study has explored various aspects of the innovation
and its effectiveness in human resource practices.
The results of the first two questions were related to the procedure of product innovations
in the organisations. The process of product innovation asked the respondents about innovation
period in Dubai manufacturing firms. Moreover, it has also identified that there is the medium
rate of product innovation in Dubai because respondents have responded with the average of the
product of innovation in their organisations (Kamoun et al, 2010). Secondly, it was asked that
was their innovations among recent three years. It has also respond ended with the medium rate
of responses because half of the respondents replied with strongly agree and agree, however, half
of the respondents responded with disagreeing and strongly disagree. Hence, it was concluded
that there were not the slow pace of product neither it is the very fast speed of innovation in the
organisations of UAE (Dayan et al, 2013).
The process of innovation has considered very slow in organisations of UAE. It has
demonstrated from the previous studies that there were only 37% of the efforts performed in the
context of UAE for research and development purpose. This 37% however, includes both
continuous and occasional research and development researchers. Moreover, expenditures on the
research and development process are just 0.9 million per year that is only 0.01%. This capacity

The role of innovation in human resource practices of Dubai


of expenditure is considered as very low in the industries and it implements for the both part time
and full-time employees (Manufacturing companies in UAE, 2016). However, a study has
revealed the opposite results for the study because it has determined by the data assessment there
is the majority of research and development process that also impact on the training and
development of employees. Furthermore, recruitment and selection and appraisals are also
developed according to the qualification and experiences of the employees for handling research
and development procedures. The reason for the inconsistency with the past publication may be
due to the reason that particularly manufacturing industry of UAE requires innovation in the
procedures of product development so that they can be competent in the market. Hence, most of
the Research and development process takes place in this region. There may be other ambiguity
in the procedures of information gathering but one identified is the collection of data from a
small sample size due to lack of resources and constraints of the time of completion of research
(Suliman, 2013).
The second focus of the study was on the execution of innovation in the processes of
organisations. Advancement in technologies has leveraged from the production firms to the
assembling firms and there is a number of innovations in the processes. However, the
optimisation of the automatic database is one of the efficient tools for the producer and seller of
goods. With the database, execution companies get follow of their products easily. Especially, if
they are connected with some retailing stores the implementation of database whether it is ERP,
SAP or Oracle become very much useful for the businesses. It allows companies to get
information on their sales on the shelves of retailing stores. Thus, companies become able to
know per day, weekly, monthly and yearly sales through the retailers. Accurate information on

The role of innovation in human resource practices of Dubai


the sales provides assistance for the time of next delivery of the goods as well (Collins, 2010).
Thus, firms prepare themselves according to the requirement of the product on the retailing mart.
A worldwide example of database implementation is proctor and gamble and Walmart. Proctor
and Gamble not only receive the information for the sales of its product but it also has developed
information sharing with Walmart. This relationship of the businesses has also allocated 80/20
rule in their business thus, it has become a success factor for the Proctor & Gamble and Walmart
(Madichie, 2010). Apart from the retailing stores, the automatic database also helps in the
warehouses and other channels of distribution of the manufacturing firms. It has evident from the
results of the organisations in UAE that they also have advanced their technologies. As the
managers have depicted the use of databases in each of the 50 organisations. The managers have
reported the use of SAP rather than ERP and Oracle. However, practices of the databases are
almost the same but it is beneficial for the organisations that they use advanced systems for their
production facilities as well (Suliman, 2013). Operations of raw material transformation from a
warehouse to production facility has also modernised in the organisations. Pilates in warehouses
and storage rooms for the production are also dealt with automated processes. The production
facilities have also advanced with the production of the different production on one slide of the
production in order to maximise resources. Hence, human resource managers have to include in
the decision-making processes in order to arrange incumbents for the recruitment and selection
and training of the new hires according to the advanced technologies (Kamoun et al, 2010). The
use of automation system has also extended in assembling of products. However, we have not
included the difference between production and assembling companies in the study.

The role of innovation in human resource practices of Dubai


Another factor of Innovative management has found valuable for the Human resource
Management practices. However, results depicted that it is very less correlate to the Human
resource management practices. The results have depicted significance of the result moreover,
Human resource managers showed their consent of the administrative innovation in Human
resource management practices. It is so because being Human resource manager they have
enough evidence to show that updates of new vacancies are circulated within the organisations. It
is human resource management practices that they manage recruitment. If the organisation
maintains internal hiring it is in the knowledge of employee and if organisational policies do not
represent internal hiring than Human resources is not required to circulate the news inside the
organisation. Furthermore, it has also elaborated from the results that organisation in Dubai
focuses on the orientation of the new hires and plan training for them if they need. Not only for
the new hires but organisations of UAE have also executed training programs for the existing
employees as well as for the management of organisations (Akoum, 2008). The motivation factor
of the employees is enhanced when they are involved in the special projects according to their
skills. Hence, it has depicted that managers of Human Resource in UAE organisations allocate
responsibilities to the skilled employees in order to encourage their performance. Moreover,
compensation and benefit is a beneficial component of the workplace. Organisations in UAE has
also implemented the program through which employees can see the performance appraisal
programs in organisations (Moreno, 2015). It has also illustrated from the results that reward
system is also beneficial that stimulate efforts of the employees.

The role of innovation in human resource practices of Dubai



Summary of the chapter

This chapter has focused on the results that have been assessed on the basis of

information provided by the head of human resource management of the organisations, situated
in UAE. Moreover, this section is mainly on results and its interpretation and the discussion that
is related to the factors of innovative management and its effectiveness to the human resource
management practices in companies.
The responses of the head of Human resource have collected from the UAE
manufacturing firms and the response rate was also reliable to proceed with the result analysis.
Moreover, results have analysed using different statistical techniques. These techniques included
descriptive statistic and correlation. The descriptive statistic for the every factor of Innovative
Management has analysed in results and they are interpreted in accordance with the respondents

The role of innovation in human resource practices of Dubai


results. Moreover, correlation of all independent variables i.e. Product innovation, Process
innovation and Administrative innovation with Human Resource Management Practices have
checked using correlation technique.
Furthermore, discussion about the variables has highlighted the results and effectiveness
of each of the result. The discussion has involved comprehensive study if the variables that how
these variables are affecting the human resource practices in the manufacturing firms and what
was the result of the real world scenario in accordance with the constraints. There is clear
explanation of studying the topic and its purpose highlighted in the chapter of results and
discussion. It has evaluated the significance of each variable of innovative management that has
contributed towards human resource management practices in the light of results revealed by the
head of the human resource management in UAE organisations.

The role of innovation in human resource practices of Dubai


Conclusion and Recommendation

3.1 Overview
Conclusion and recommendation are the final chapter of a dissertation that summarises efficacy
of the topic and its effects on the general or a specific environment. Hence, in this chapter we
also summarised theory and its practical implication for the innovative management in the
context of UAE. Moreover, it has also included a future recommendation, future implications
and future practices attached to this topic or its effectiveness. Hence, this chapter is very critical
with the viewpoint of the researcher as well readers and practitioners.

3.2 Conclusion
Advancement in technologies has augmented desires of consumers. On the other hand,
innovations in the business world have also given the peak to the competitive advantage of
companies. The companies who adopt changes according to the requirement of external

The role of innovation in human resource practices of Dubai


customers (consumers) along with the desires of their internal customers (employees), they tend
to achieve competitive advantage in the business world and are able to combat within a mature
market. With the implementation of advanced technologies in the organisation, it is desired that
responsibility of employees also increase. The proficiency skills are required to effectively
leverage modern technologies in the organisation. It requires perfection of each and every
connected or non-connected materials.
This study thus involves innovative management and its effectiveness towards Human
resource management practices. Moreover, this study involved different factors of innovative
management that have determined by Chuang (2005). These dimensions of innovative
management are product innovation, process innovation and administrative management. Their
impact on the human resource management has also identified by Tan & Nasurdin, (2010).
Hence, the theory has evaluated that Product innovation individually correlates with Human
resource management practices, Process innovation has its own effects on Human resource
management practices and similarly the third dimension of innovative management,
Administrative management has separately dealt with the Human resource management
practices. Hence, in order to get evidence in UAE organisations we have prolonged a study in
manufacturing firms of the country.
There were two basic reasons of selecting the manufacturing companies of UAE. The
first reason of opting for manufacturing industry was the peculiarity of its operations. It includes
various procedures to compose the end products throughout its formation like raw material, work
in process and finish goods. The process is not limited to these three procedures but they have
extended like a network that includes distribution and channel processes in between raw

The role of innovation in human resource practices of Dubai


material, work-in-process and finish goods. Hence, at any platform companies need to develop
quick channels in order to reach to their end consumers more rapidly than their competitors. For
this purpose, manufacturing firms are rather benefitted with the advancement of technologies.
The second reason to choose manufacturing firm was a specification of the respondents,
recommendations and implications to the particular sector.
For this purpose, we have conducted research in manufacturing companies of UAE.
Hence, a total of 80 questionnaires was sent to the Head of Human resource managers of these
organisations. The response rate was good as we have received 50 questionnaires that we could
include in the research. Reliability for the data has checked by identification of criteria for the
respondents. Hence, we assessed data with the statistical tools of descriptive statistic and
correlation. The results have supported past theory that innovative management affects human
resource management practices in the perspective of manufacturing firms of UAE.
The results of the respondents evaluated that product innovation is concentrating in UAE.
It has demonstrated from the responses of human resource managers of UAE organisations that
innovation continues in the manufacturing organisations of UAE as the majority of the firms get
the innovative product in past 3 years. Moreover, it has evident from the respondents result that
Research and Development process is also attentive in the manufacturing firms in order to
develop their products according to the desires of consumers. However, it has shown from the
results the process of Research is not continuous in the manufacturing companies. However, it
takes place occasionally in the companies in order to enhance characteristics of the products
(Madichie, 2010). Hence, it has also evident from the correlation that product innovation is
highly correlated with the human resource management. It is so because for the purpose of

The role of innovation in human resource practices of Dubai


innovation of product organisations require human resources to survey market with the variety of
sources. Hence, an attentive team is required by the organisations to process appropriate
information on time. Moreover, products are first verified by the organisational labs that also
requires human resource and their expertise. Hence, human resource management is get affected
with the modernization of product and human resource is abide to recruit and select for the right
person for the right job, training and development, performance appraisals and rewards of the
employees who are involved in the process of innovation (Kamoun et al, 2010).
Similarly, organisations also have depicted process innovation contribution to human
resource management practices. It is critical to the organisations to include advanced procedures
to produce goods. Firstly machinery use in the production facility requires a human resource that
is expert in running and handling such technical machinery. Moreover, process innovation also
includes advancement of the procedures in quality assurance, quality control, and delivery of
products from storage departments to the production facilities and transformation of the products
to the storage of finish goods. Nonetheless, a mechanism for the entire process of production has
modernised with the passage of time. A technical team is also required to properly fix the
disorders of the machinery because if one procedure is abnormal in the production facility it
impacts badly to the other procedure of production as well. Apart from production facility,
skilled labors and their proper training is required by the organisations for the automated systems
that are part and parcel of the businesses especially, manufacturing business. These automated
systems are important for the manufacturing firms because they provide accurate information of
their products with the barcode system. Moreover, implementation of databases like ERP or SAP
have also enabled companies to get the information of per hour, per day, per month and per year

The role of innovation in human resource practices of Dubai


sales. Hence, companies get alert for the next delivery. Moreover, a forecast can also be
generated on the basis of monthly, yearly or seasonal sales through the records of the sales. For
the whole process implementation, technical team is required by the organisations of UAE as
well in order to proceed with the resources smoothly (Madichie, 2010). An error can generate
millions of loss to the companies that are why human resource managers deal critically to hire
the professionals for the critical database operations and fixing the error of it. An essential
responsibility of or selection of the professionals thus drawn upon the human resource
department. They tend to select an appropriate employee and train them according to the need of
organisations. Hence, process innovation is also correlated towards human resource department
(Kamoun et al, 2010).
Administrative innovation in the organisations also portrays effective results to the
human resource management practices. As the change in management is directly related to the
human resource department. Hence, whenever there is a change in the management style or
policy amendments take place in the organisations it has a meaningful impact on the human
resource management practice. For example, if the organisations leverage internal recruitment
processes along with external recruitment and selection procedures than it is the responsibility of
the human resource management to manifestly circulate the vacancy of the job inside
organisations. Furthermore, formulation and execution of the employees are also critical in the
workplace. Organisations might be reactive towards the change management of the processes
like orientation, training and development of the employees. Hence, it also affects the human
resource management to execute the appropriate for the changing processes. Similarly, with the
advancement of policies of organisations employees want to be updated about the performance

The role of innovation in human resource practices of Dubai


appraisal. Small and large companies of UAE hence, also proceeded with such processes and it
also became the critical responsibility of human resource management to maintain the records
for performance appraisals in order to reward employees accordingly (Moreno, 2015).

3.3 Research implications

It is a major contribution to the study of innovative management and its impact on human
resource management practices. Hence, readers will be beneficial from its findings. Moreover,
organisations of UAE were thought as the less innovative businesses as its budget is very low in
Research and Development and it also has also get the lesser response from the process of
Research and Development. However, this study has explored innovative management in the
manufacturing organisations of UAE as the important factor. Moreover, its findings can make
more aspect of innovation in UAE organisations. However, there is a wide way of exploring the
topic in the different context with the different perspective. For example, this research is based
on the primary quantitative research. Hence, in future studies can be prolonged with the
qualitative research approach or utilising data from the secondary resources. Amalgamation of
both approaches can also reveal this approach with the wide aspects of interviews and its
findings identifying in the context of the real world.

3.4 Research limitation

In order to complete this research, some obstacles were found. The major issue for
conducting research was that it had to complete within a very short span of time. In other
countries accommodate students for the formation of research with the budget. Hence, the budget
constraint was also one of the major constraints for conducting this research. With the time

The role of innovation in human resource practices of Dubai


constraint and availability of the resources, only a small number of sample size could be used for
the assessment of data. One cannot generalise the results to the other sectors and other countries
other than manufacturing companies of UAE.

3.5 Recommendations
After the successful completion of the study, there are some recommendations that can
help in the future research and implementation of the procedures in the manufacturing firms
particularly, in the region o UAE.
This study has evaluated the highest correlation of product innovation on the Human
resource practices of manufacturing organisations of UAE. Hence, the manufacturing firms can
use the findings for the betterment of human resource management in their organisations.
In previous studies, UAE has depicted as the less innovative area in the businesses.
However, this study has revealed that it is contradictory in the previous assumptions with the real
data collection for this study. Hence, foreign industries can allocate the space for the investment
if they hesitated in past due to lack of innovation and research and development in UAE industry
(Suliman, 2013).
This study has revealed various perspectives of product innovation that is useful for the
human resource management practices in UAE organisations Research and Development is one
of the suitable practice in which organisations can involve in its processes widely. They need to
promote such innovations through the company websites or publication of the research studies
(Madichie, 2010).

The role of innovation in human resource practices of Dubai


The lack of research on the innovative management either product innovation, process
innovation or administrative innovation may lead the wrong assumptions of the business
industries of UAE. Hence, the government should take part to enhance the surveys, research and
other promotional tactics in order to prolong awareness of the role of innovation in UAE (Som,
It has also evident from the study that process management is also beneficial for the
manufacturing organisations. Most of the Organisations of UAE have the influence of the system
automation. However, all the sectors should implement automation in their business in order to
remain competent in the industry (Kamoun et al, 2010)
Apart from the product and process innovation, UAE organisations should also enhance their
efforts to verify the way of human capital that may put employees at ease with the increase in
productivity of the firms. Hence, they can bring best suitable practices to please their customers
along with the employees of the companies (Moreno, 2015).

3.6 Summary of the Chapter

Hence, the influence of the innovations in human resource management can be demonstrated
from the above consequences of the research and detailed discussion. Furthermore, this section
has concluded the research with the meaningful implications for the academics and managers as
well. Moreover, it also included a recommendation for the practitioners and suggested valuable
recommendations for the UAE organisations.

The role of innovation in human resource practices of Dubai


A record number of firms join Dubai chamber in H1 2014 (2016, January 12). A record number
Manufacturing companies in UAE (2016). Manufacturing companies in UAE, industrial land in
Dubai, warehouses in Dubai, Dubai industrial park, showrooms for rent in Dubai, office
space in Dubai, storage in Dubai, land in Dubai. Retrieved August 30, 2016, from
Afiouni, F., Rul, H., & Schuler, R. (2013). HRM in the middle east: Toward a greater
understanding. The International Journal of Human Resource Management, 25(2), 133143.
Agarwala, T. (2003). Innovative human resource practices and organisational commitment: An
empirical investigation. The International Journal of Human Resource Management, 14(2),
175197. doi:10.1080/0958519021000029072
Akoum, I. F. (2008). Conducting business in the UAE: A brief for international managers.
Global Business and Organisational Excellence, 27(4), 5166. doi:10.1002/joe.20213
Black, J., & Chamption, D. (1976). Methods and issues in social research. Wiley: N.Change
management. (2014). Retrieved from
Binoy, J., & Associate. (2012). Innovative human resource practices and employee outcomes in

The role of innovation in human resource practices of Dubai


Bryman, A. (2012). Social research methods (4th ed.). New York: Oxford University Press.
Check Market. (2013, February 13). How to determine population and survey sample size?
Retrieved August 30, 2016, from Market Research,
Cheng, T., & Nasurdin, A. (2010). Knowledge management effectiveness and technological
innovation: An empirical study in the Malaysian manufacturing industry. Journal of Mobile
Technologies, Knowledge & Society. doi:10.5171/2010.428053
Chuang, L.-M. (2003). An empirical study of the construction of measuring model for
organisational innovation in Taiwanese high-tech enterprises. The Journal of American
Academy of Business, 9, 299304.
Collins, H. (2010). Creative research: The theory and practice of research for the creative
industries (required reading range). Lausanne: AVA Publishing SA.
Cooke, F. L., & Saini, D. S. (2010). (how) does the HR strategy support an innovation-oriented
business strategy? An investigation of institutional context and organisational practices in
Indian firms. Human Resource Management, 49(3), 377400. doi:10.1002/hrm.20356
Creswell, J. W. (2002). Research design: Qualitative, quantitative and mixed methods approach.
Thousand Oaks, CA: Sage Publications.
Damanpour, F. (1991). Organisational innovation: a meta-analysis of effects of determinants and
moderators. Academy of Management Journal, 34(3), 555590. doi:10.2307/256406
Damanpour, F., & Evan, W. M. (1984). Organisational innovation and performance: The problem
of organisational lag. Administrative Science Quarterly, 29(3), 392. doi:10.2307/2393031
Dayan, M., Zacca, R., & Di Benedetto, A. (2013). An exploratory study of entrepreneurial
creativity: Its antecedents and mediators in the context of UAE firms. Creativity and
Innovation Management, 22(3), 223240. doi:10.1111/caim.12036
Easterby-Smith, M., Thorpe, P. R., Jackson, P. R., Thorpe, R., & Lowe, A. (2008). Management
research (SAGE Series in management research) (3rd ed.). London: Sage Publications.
Edralin, D. M. (2008). Innovative human resource management (HRM) practices as predictors of
employee job involvement and organisational commitment. Asian Journal of Technology
Innovation, 16(2), 6781. doi:10.1080/19761597.2008.9668657

The role of innovation in human resource practices of Dubai


EN DITEC Dr Steve speech press release (2015). Retrieved from

Forum reports UAE forum on innovation and entrepreneurship. (2014). . Retrieved from
Foss, N. J., & Laursen, K. (2012). Human resource management practices and innovation by
Nicolai J. Foss, Keld Laursen: SSRN. doi:10.2139/ssrn.2149464
JimnezJimnezDaniel, & SanzValleRaquel (2005). Innovation and human resource
management fit: An empirical study. International Journal of Manpower, 26(4), 364381.
Kamoun, F., Werghi, N., & Al Blushi, M. (2010). On the appropriateness of incident
management systems in developing countries: A case from the UAE. Journal of Technology
Management & Innovation, 5(4), 5769. doi:10.4067/s0718-27242010000400005
Kumar, R., & Kumar, P. K. (2014). Research methodology: A step-by-step guide for beginners
(3rd ed.). London: SAGE Publications.
Leonard, J. A., & Waldman, C. (2007). An empirical model of the sources of innovation in the
U.S. Manufacturing sector. Business Economics, 42(4), 3345. doi:10.2145/20070404
LIU, C.-C. (2005). An empirical study on the construction of a model for measuring
organisational innovation in Taiwanese high-tech enterprises. International Journal of
Innovation Management, 09(02), 241257. doi:10.1142/s1363919605001253
Madichie, N. O. (2010). Business incubation in the UAE: Prospects for enterprise development.
International Journal of Entrepreneurship and Innovation Management, 12(3/4), 291.
Madichie, N. O. (2011). IRENA Masdar city (UAE) exemplars of innovation into emerging
markets. Foresight, 13(6), 3447. doi:10.1108/14636681111179582
Mavondo, F. T., Chimhanzi, J., & Stewart, J. (2005). Learning orientation and market orientation.
European Journal of Marketing, 39(11/12), 12351263. doi:10.1108/03090560510623244
Moreno, E. F., Mata, J. L. C., Bello, J. M., & Lpez, O. H. (2015). Predictors of administrative
innovation: Functions and organisational methods -Mexican and Colombian hospitals-.
Review of Business Management. doi:10.7819/rbgn.v17i54.1820

The role of innovation in human resource practices of Dubai


Paauwe, J., & Boselie, P. (2005). HRM and performance: What next? Human Resource
Management Journal, 15(4), 6883. doi:10.1111/j.1748-8583.2005.tb00296.x
Punch, K. F. (2009). Introduction to research methods in education. Los Angeles: Sage
Publications Ltd, United Kingdom.
Shaukat, H., Ashraf, N., & Ghafoor, S. (2015). The impact of human resource management
practices on employees performance. Middle-East Journal of Scientific Research, 23(2),
329338. doi:10.5829/idosi.mejsr.2015.23.02.22117
Shipton, H., Fay, D., West, M., Patterson, M., & Birdi, K. (2005). Managing people to promote
innovation. Creativity and Innovation Management, 14(2), 118128. doi:10.1111/j.14678691.2005.00332.x
Som, A. (2008). Innovative human resource management and corporate performance in the
context of economic liberalisation in India. The International Journal of Human Resource
Management, 19(7), 12781297. doi:10.1080/09585190802110075
Suifan, T. S. (2015). The effect of human resources practices on organisational commitment: A
Jordanian study. jmr, 7(4), 222. doi:10.5296/jmr.v7i4.7972
Suliman, A. (2013). Organisational justice and innovation in the workplace: The case of the
UAE. Journal of Management Development, 32(9), 945959. doi:10.1108/jmd-03-2012-0037
Yang, X. (2009). Discussion on the cultivation system construction of sustainable innovation
ability for small and medium enterprises. Journal of Sustainable Development, 1(1), .
Zikmund, W., Carr, B., & Mitch Griffin, M. (n.d.). Business Research Methods (9th ed.).
London. Sage. Retrieved August 27, 2016, from

Innovative HRM


HRM department has played an important role in the success of this

HRM personnel in organization are helpful and respected.

The role of innovation in human resource practices of Dubai


HRM is proactive in this organization and anticipates changes and

corporate dissatisfaction.


HR managers are coaches rather than regulators.


HRM is not about programs, it is about building employee-employee



HRM department benchmarks with global excellent practices.


Overall the HRM policies of the organization is fair.


Product Innovation

During the three years 2002 to 2004, did your enterprise introduce?

New or significantly improved goods. (Exclude the simple resale of

new goods purchased from other enterprises and changes of a solely
aesthetic nature.)

Does the organization execute Research and Development process


Process Innovation
Does the organization use Enterprise Resource Planning (ERP) as the
1. database?

Does the organizations use Oracle as the database?

Does the organization use any other database?


Does organization provide internal training for the new product or



Does organization provide external training for the new product or


Administrative Innovation

Information about job vacancies is easily available within the

In this organization, there is formal induction, orientation and
formalization process designed to help the new managerial recruit

The role of innovation in human resource practices of Dubai


understand the organization.


Selection to special project teams motivates personnel in our

organization to learn more.


Personnel department has provided to all staff a clear explanation of

the policy and how it is implemented.


The rewards received are directly related to the performance and

contribution at work.